Hungary—Unicredit (HVB) Leasing Hungary

DAI began supporting Unicredit Leasing Hungary (UCL) in May 2005 assisting the Hungarian bank to strengthen its small and medium enterprise (SME) leasing practices. At the beginning of the project, DAI’s specialists worked with the company to streamline organizational processes, align the marketing strategy, and introduce workflow improvements, both for lease transactions and product development. Following the success of the initial two-year technical assistance contract, DAI’s services were retained to provide intensive assistance on developing UCL’s presence in agricultural equipment leasing. In particular, assistance was requested by the risk staff, based on DAI’s extensive experience in this area. Given the new challenges posed by the world economic crisis, DAI focused on assisting UL with improving its soft and hard collection activities and on developing a new repossession and remarketing procedure for assets that have been taken back from lessees following nonpayment of invoices. The sales teams were also coached in dealing with the new difficulties that are inherent in the Hungarian SME sector that make achieving sales targets very difficult.

Select Results

• Assessed and improved policies and procedures and streamlined processes for sectors including forklifts, trucks, medical equipment, agricultural equipment, IT equipment financing.
• Introduced a credit risk scorecard, which incorporated group credit assessment policies.
• Developed a secure financial quotation calculator for the use of small equipment vendors to enable them to provide their customers with point-of-sale quotations.
• Developed a three-phase commission structure for the firm and designed sales bonus plans.
• Ensured compliance with EU/EBRD Finance Facility.
• Develop training materials and train managers and lease lending officers.
• Presented recommendations for improvement of UCL’s collection function.